When Africa transitions to knowledge economy (3)
Dr. Olukayode Oyeleye, Business a.m.’s Editorial Advisor, who graduated in veterinary medicine from the University of Ibadan, Nigeria, before establishing himself in science and public policy journalism and communication, also has a postgraduate diploma in public administration, and is a former special adviser to two former Nigerian ministers of agriculture. He specialises in development and policy issues in the areas of food, trade and competition, security, governance, environment and innovation, politics and emerging economies.
December 12, 2023357 views0 comments
MAY 2013 WAS A MONTH when African political leaders stood on the watershed, on the cusp of an era in history. The year was also remarkable on account of a far-reaching decision taken in that month of May. They looked backward at the past 50 years since the formation of the Organisation of African Unity (OAU), now called African Union (AU). They also attempted to peep into the uncertain future of the 50 years ahead then. They envisioned the transformation of Africa into the “global powerhouse of the future” in a blueprint and master plan aptly called “Agenda 2063.” The master plan was regarded as “the continent’s strategic framework that aims to deliver on its goal for inclusive and sustainable development and is a concrete manifestation of the pan-African drive for unity, self-determination, freedom, progress and collective prosperity pursued under Pan-Africanism and African Renaissance.”
The “collective prosperity” aspect is of great interest, particularly for a continent that is desperately in need of self-sustenance and quantum leap in technological advancement, political transformation and economic development. More than 10 years after the Agenda 2063 idea was hatched, it is worth reassessing the progress made so far. In accordance with the Agenda 2063, it is important to know now if the original idea of “the realisation by African leaders that there was a need to refocus and reprioritise Africa’s agenda from the struggle against apartheid and the attainment of political independence for the continent which had been the focus of the Organisation of African Unity (OAU), the precursor of the African Union,” has been achieved, or is being achieved and at what stage of achievement. Those lofty ideals, couched in high-sounding expression, are worth re-examining at this time, with emphasis on clear and specific performance indicators.
Back then in 2013, the leaders identified the need to “prioritise inclusive social and economic development, continental and regional integration, democratic governance and peace and security amongst other issues aimed at repositioning Africa to becoming a dominant player in the global arena.” In their declaration, they committed themselves to “the re-dedication of Africa towards the attainment of the Pan African Vision of an integrated, prosperous and peaceful Africa, driven by its own citizens, representing a dynamic force in the international arena and Agenda 2063 is the concrete manifestation of how the continent intends to achieve this vision within a 50 year period from 2013 to 2063.” Less than 40 years to the 2063 mark, what can African leaders now boast of as concrete achievements within the array of discrete issues they committed themselves to in 2013?
Of relevance and significance is the African Continental Free Trade Agreement (AfCFTA) that was adopted and opened for signature on March 21, 2018 in Kigali and entered into force on May 30, 2019, leading to the establishment of a free trade area, with the expectation of becoming a dominant player in the global arena. Since January 1, 2021, this free trade area has commenced trading. But how far has it gone in impact over the past three years of trading? In essence, if AfCFTA becomes a key performance indicator on regional integration, how has it fared since January 2021 to December 2023? And if continental peace and security are up for scrutiny, what about the two years of bitter hostilities in Ethiopia that only got a reprieve in November 2022? Or, what about the ongoing needless war within Sudan arising from a tussle between two military generals, that has brought the country to its knees since April 15, 2023, nearly six months after the failure of its patchy quasi-democracy that has been met with protests that earlier consumed hundreds of people?
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Considering Agenda 2063’s reference to “democratic governance,” can it be rightly affirmed now that Africa has made progress, especially with many of those who formulated the Agenda 2063 in 2013 still in office as heads of government in 2023? A few names will suffice: Yoweri Museveni of Uganda, Faure Gnassingbé of Togo, Alassane Ouattara of Côte d’Ivoire, Paul Biya of Cameroon and Paul Kagame of Rwanda. Of a corrupted democratic process, would Ouattara be considered a good specimen of democracy after he had altered the country’s constitution to enable him secure the third he is currently serving in office as president? Would Alpha Condé of Guinea Conakry also have been considered a good example of democratic leader for doing the same thing as was done by Ouattara if he had not been toppled in a coup on September 5, 2021? Under what type of democratic leadership can the deposed Ali Bongo of Gabon and the currently ruling Faure Gnassingbé of Togo be classified? What level of confidence does the 2023 Nigerian presidential election inspire after all the controversies trailing the declaration of Ahmed Tinubu as winner and his subsequent affirmation by the courts? These questions arise in relation to the stated aspiration of Africa as a continent that was thought of “becoming a dominant player in the global arena.”
The global events of the new millennium and the drivers of wealth creation revolve around knowledge and technology, particularly information and communication technology. The front runners in these areas are the rule makers of the present and the future. Where African countries fit in now and in the future should be of great concerns because of the future implications within the Agenda 2063 framework. To avoid chasing mirage or mere illusion, it is necessary to interrogate how Agenda 2063 is expected to be achieved in practice and how the lofty goals of an integrated, prosperous and peaceful Africa are to be achieved. This is especially important, to avoid merely playing with words without a supportive will as such continental goals are meant to be “driven by its own citizens, representing a dynamic force in the international arena.”
Investment in human capital is a critical issue. Even under a shorter-term, ending in 2030, it has been widely acknowledged that investing in human capital in Africa is crucial for achieving the Sustainable Development Goals (SDGs). Among the numerous challenges that Africa faces, poverty, high unemployment rates, inadequate access to education and healthcare, and a lack of infrastructure require heavy and sustained investment in the continent’s human capital. Specifically, the current infant mortality rate of 72 per 1,000 live births is far higher than the target rate of 25 per 1,000 live births by 2030 and is significantly higher than other regions of the world. The prevalence of malnutrition in Africa, with nearly 30.7 percent of children under the age of five stunted and more than 25 percent of children wasted can be deeply troubling. The increasing figure of stunting from 54.4 million in 2000 to 61.4 million in 2020 does not bode well for even Agenda 2030 SDG, much less Agenda 2063. With most of Africa still grappling with high stunting prevalence, pervasive poverty, limited access to clean water and sanitation facilities, inadequate healthcare, food insecurity, and poor maternal and child nutrition practices that hinder children’s physical and cognitive development, the readiness and preparedness of Africa for the Agenda 2063 in which African development will be driven by the minds of its citizens.
According UNCTAD’s Economic Development in Africa Report 2023, Africa’s potential to become a major participant in global supply chains for high-technology sectors like automobiles, mobile telephones, renewable energy and health care could be unlocked through the AfCFTA. This can be through easing access to regional markets and strengthening production chains across the continent, helping domestic industries become more prepared for the global arena. This platform presents opportunities for African governments and businesses to position the continent as the new destination for global supply chains. Some supply chain hurdles the African countries face, such as poor logistics, low levels of technology, fragmented markets, limited capital sources, and weak institutions and regulations need to be overcome first. However, these cannot be achieved without the requisite political will. The abundance of critical minerals needed for high-tech and green products in Africa will not yield much benefit for Africa and its young population without the appropriate policies and enabling environment.
As the world lays increasing emphasis on energy transition, Africa’s opportunities in green supply chains and renewable energy resources will require the knowledge and expertise adaptable to the new technologies in the renewable energy industry. To seize these comparative advantages, African countries need to enhance productivity through technology adoption, improve logistics and leverage trade agreements. The infrastructure gap all across Africa will have to be bridged rather urgently through investments in infrastructure, including ports, roads and rail and overcoming the delays that reduce efficiency and outputs as well as discourage businesses from sourcing products from African countries. Attention needs to be paid to government’s improvement in their transactions with contractors, especially the foreign-owned, to henceforth secure better mining contracts and exploration licences for metals to strengthen domestic industries and enable local firms to design, procure, manufacture and supply the necessary components, according to UNCTAD. The agency also urged African governments to design industrial policies that prioritise local sourcing and focus on areas such as science and technology, human capital development, infrastructure and capacity-building. Without drastically altering the ways the continent of Africa has been run in the past 60 decades, the Agenda 2063, which sets a terminal date that is still four odd decades ahead, may not live up to its bidding. Everything possible must be done to make this Agenda 2063 go beyond mere mantra. It must be used as a compass and must be followed meticulously. Africa needs direction, not just a slogan.